Major Bitcoin Sell-Off Averted? Mt. Gox’s Largest Creditor Makes Up Its Mind
According to a recent report by Bloomberg, Mt Gox Investment Fund, which purchased claims against the cryptocurrency trading platform, has no intention of disposing of the Bitcoins that are set to be returned later this year.
The fund has opted to receive an early payout in September instead of waiting for the conclusion of all legal proceedings related to the downfall of the exchange. The payout will constitute 90% of the total collectible amount, with approximately 70% of it being in Bitcoin and 30% in cash. However, the exact quantity of Bitcoin that the fund anticipates receiving has not been revealed.
UBS strategists have stated that the upcoming Mt. Gox bankruptcy repayments are unlikely to impact the price of Bitcoin. Its strategist suggests that the impact on the market of the repayments is difficult to predict and it is unlikely that most of them will reach the market due to most early adopters still being crypto believers.
Creditors are set to receive funds in September, with the option of choosing fiat or crypto payments.
As reported by U.Today, the cutoff date for rehabilitation creditors to register their payment preferences has been postponed. The new deadline for selection and registration is March 10, which gives more time for the creditors to complete the process.
Mt. Gox’s rehabilitation plan has been under development for multiple years. The exchange went bankrupt back in early 2014 following a massive hack.